TECHNET SOLUTIONS™
ERRORS & OMISSIONS APPLICATION
UNDERWRITING MANAGER:MEDIA/PROFESSIONAL INSURANCE
Two Pershing Square
2300 Main Street, Suite 800Kansas City, Missouri 64108-2404
Telephone: 816.471.6118
Facsimile: 816.471.6119
Website:
Email:
WHAT THE APPLICANT SHOULD KNOW ABOUT THIS APPLICATION:
DEFINITIONS –
The words Applicant, You and Your in this application refer individually and collectively to:
1. The corporation(s), partnership(s) and/or sole proprietorship(s) for which coverage is desired;
2. Each person who is an officer, director, owner, partner or employee of the firms listed in Item 1. above.
RETENTION –
The coverage the Applicant is applying for includes a retention applying to each wrongful act and to any combination of damages and claim expense.
CLAIM EXPENSE WITHIN THE LIMIT –
The policy form for which the Applicant is applying contains a provision that reduces the policy limit stated in the policy by the amount of claim expense paid by the Company.
APPLICATION FORMS PART OF POLICY –
The submission of this application does not obligate the Applicant to buy insurance nor is the Company obligated to sell insurance or to offer insurance upon any specific terms requested. If coverage is effected, this application containing the Applicant’s statements and answers will attach to and form a part of the policy. If coverage is offered or bound, any false or incorrect statements or answers, which may have affected the Company’s decision to offer or bind coverage, could result in the offer being retracted or coverage being voided.
INSTRUCTIONS –
The purpose of this application is not only to provide the Company with underwriting and rating information, but more importantly, to help make certain the Applicant and the Company have a common understanding about what the policy, if issued, will cover and what it will not. Thank you for taking the time to provide complete and accurate information.
1. Answer all questions. If any question does not apply, explain why not.
2. If space is insufficient, continue answers on the Applicant’s letterhead.
3. The application must be signed and dated by a principal, partner, officer or director of the Applicant.
4. Please also provide:
A. A recent brochure or similar material describing activities or services.
B. The Applicant’s most recent financial statement or annual report.
C. Copies of standard contracts the Applicant enters into with clients.
D. Any other forms or materials which will provide the Underwriter with information about the activities or
services the Applicant performs.
I.APPLICANT(S):
1.Name of entity completing this application:
Street Address:
City, State, Zip Code: Telephone Number:
2.Names of parent, subsidiary or affiliated entities for which coverage is desired. Provide a brief description and operations
of each, including percentage of common ownership.
3.Please provide Your website address(es):
A.What steps were taken to insure thatYour domain name(s) does/do not infringe on the intellectual property rights of others?
B.Are You aware of any potential or actual disputes over Your domain name(s) or domain names under Your control?
Yes NoIf Yes, please explain:
4.Provide the year You began Your cyberspace activities:
5.In the past five years have any of You changed Your name, acquired, merged or consolidated with any entity?
Yes NoIf Yes, provide the following:
Name of entity:Date of transaction:
Liabilities assumed:
6.Provide the number of:
Your Principals, Officers and Partners:Your employees:
Your independent contractors:
II.ACTIVITIES OR SERVICES:
1.A.Describe the activities or services provided that You wish to insure:
B.Please indicate the approximate percentages of Your operations derived from the following Internet services performed for others.
% / Internet Advertising and Promotional Services% / Internet Marketing Services and Data Mining
% / Application Service Provider Services
% / Internet Access Only Services
% / Web Page Development, Design and Consulting Services
% / Website Hosting and Administration Activities
% / Website Ownership Activities
% / Blog, Bulletin Board, Chat, Forum or Newsgroup Operations and Services
% / Cyberspace Software Development (Internet-related software)
% / Interactive Electronic Environments and Virtual Communities Operations and Services
% / Internet Content Provider Services (articles, photo, audio, etc.)
% / Intranets, Extranets and Intra-Business Networks Management and Consulting Services
% / Search Engines
% / E-Commerce
% / Other – Please describe:
C.Please indicate the approximate percentages of Your total operations derived from the following Technology services performed for others.
% / Technology Security Services and Consulting% / Electronic Data Processing
% / Technology Consulting
% / Custom Software Development
% / Package Software Development
% / Sale of Software on behalf of others
% / Sale of Hardware on behalf of others (value-added resale)
% / Time-Sharing
% / Systems Analysis/Design/Integration/Migration/Consulting
% / Outsourcing/Independent Contractor Provider
% / Software Maintenance and Support Services
% / Local/Long Distance/Cellular Service Provider
% / Enterprise Resource/Risk Management
% / Relational Database Systems
% / Hardware or Components, Machinery, Equipment Installation, Maintenance & Support Services
% / Design, Manufacture or Modification of Computer Hardware Components, Machinery & Equipment
% / Other – Please describe:
D.Please indicate the approximate percentages of Your total operations derived from the following non-Internet and non-Technology performed for others.
% / Other – Please describe:% / Other – Please describe:
% / Total – The combined total of the percentages given in II.1.B., C.D. must equal 100%.
2.Please indicate the percentages in each of the following areas in which Your software or services for others has major or
primary applications. (Must total 100%.)
% / LAN/Network Management / % / Administrative% / Accounting / % / Educational
% / Architectural(e.g. Model building/projection) / % / Imaging
% / Utilities/Oil & Gas Power/Nuclear Energy / % / Publishing
% / Database Management Systems/4GL / % / Office Automation
% / Scientific/Mathematical / % / Internet/Intranet/Extranet
% / Electronic Data Interchange / % / Telecommunications
% / Systems Security/Firewalls/Encryption / % / Medical
% / Banking/Financial/Funds Transfer / % / Fire, Security or other Emergency Applications
% / Environmental/Pollution / % / Government
% / Other – Please describe: / % /
Total
3.Are You involved with computer-aided manufacturing (CAM), computer-aided engineering (CAE), computer-aided
design/drafting (CAD) or real-time monitoring systems or software? Yes No
If Yes, provide a complete description of such activity, including end use of applications by client.
4.Briefly describe Your average customer contract:
Size (Revenue) / Duration(Please specify weeks/months/years) / Service(s) Performed
$
5.Briefly describe Your five largest customer contracts during the past five years:
Name
/Size (Revenue)
/ Duration(Please specify weeks/months/years) /
Service(s) Performed
$$
$
$
$
III.FINANCIAL RESULTS AND PROJECTIONS:
1.Please provide the following information regarding Your gross revenues from the operations referenced in Section
II.1.B., C. & D.:
A.Domestic Operations
Previous 12 months / Current 12 months / Estimate for coming yearGross Revenue / $ / $ / $
Gross Expenses / $ / $ / $
Cost of Products/Goods / $ / $ / $
B.Foreign Operations
Previous 12 months / Current 12 months / Estimate for coming yearGross Revenue / $ / $ / $
Gross Expenses / $ / $ / $
Cost of Products/Goods / $ / $ / $
C.Total revenue (from all revenue sources)
Previous 12 months / Current 12 months / Estimate for coming yearDomestic Operations / $ / $ / $
Foreign Operations / $ / $ / $
IV.CONTENT:
1.Type of content disseminated on-line (check all that apply):
Entertainment/Games / Law/LegalCultural (art/music) / Insurance
Financial / Database - Please specify subject:
Medical / Travel
News / Religious
Sports / Commentary/Editorial
Adult / Children’s Interest
Software for downloading (applications) / Advertising/Product Comparisons
Other – Please describe:
2.Please indicate the percentage of content that is:
A.Original content created by You%
B.Original content created by others (third parties) for You%
C.Previously published, released or archived content to be republished by You and/or retrievable by You%
3.Have You obtained all the necessary rights, licenses, releases and consents applicable to all content designated in B. and
C. of Question 2., above? Yes NoIf No, please explain:
4.Do You edit or review content created or provided to You by others? Yes No
5.Do those parties providing content to You indemnify the Applicant, in writing, for any claims arising out of the use of the content provided? Yes No
6.Describe Your policies and procedures for removing controversial or potentially defamatory or infringing material.
7.If You facilitate the uploading/downloading of content, including software, please describe in detail Your procedures
regarding copyrighted material and the licensing of software.
V.INFORMATION GATHERING:
1.Do You collect user specific information (e.g. from site visitors)? Yes No
2.Do You share, sell or give this information to outside parties? Yes No
If Yes, is user permission obtained? Yes No
3.Do You employ a privacy disclosure statement on Your website(s)? Yes No
4.Do You perform privacy audits to make sure You are in compliance with Your privacy policy as set out in Your privacy disclosure statement? Yes No
A.If Yes, who performs the audit?
B.How frequently are the audits performed?
C.What actions have been taken to correct any unfavorable results?
5.Does Your content or software include any electronic information gathering (spyware/adware)? Yes No
VI.MARKETING AND ADVERTISING:
1.Do You send electronic mail, faxes and/or make telephone calls to third parties concerning the marketing, promotion
and/or advertising of Your products and services? Yes No
2.Are permissions obtained from the recipients of all electronic mail, faxes and/or telephone calls regarding marketing,
promotion and/or advertising of Your products and services? Yes No
3.If the answer is no to Question 2. above, what steps do You take to make certain that You are in compliance with federal
and state telemarketing and anti-spam laws?
VII. SECURITY MEASURES:
1.Describe the security measures used to prevent unauthorized access to:
A.Your premises and facilities:
B.Your computer systems/servers entrusted to others:
C.Your computer systems/servers entrusted to employees:
D.Your computer systems/servers located on Your premises:
E.Computer systems/services of others in Your care, custody and/or control:
2.Describe the security measures used by You to protect confidentiality and integrity of data:
3.Advise technology You use for:
A.Encryption:
B.Authentication:
C.Anti-virus:
4.Do You perform security audits? Yes No
A.If Yes, who performs the audit?
B.How frequently are the audits performed?
C.What actions have been taken to correct any unfavorable results?
5.A.Do You have a formal, documented security policy? Yes No
B.Do You document that all employees have read and understand Your security policy? Yes No
6.In the last two years, have You experienced any security breaches? Yes No
If Yes, please explain and identify the steps taken to prevent future security breaches.
7.Backup of Your computer systems and data:
A.How often are backups performed?
B.Are backups stored off site? Yes No
VIII. RISK MANAGEMENT:
1.What do You see as Your potential exposures to liability for claims arising out of the activities or services You perform?
2.What safeguards do You employ to avoid these claims or reduce these exposures?
3.A.Do You have a written disaster recovery plan in place? Yes No
B.If You do have a disaster recovery plan in place, how often do You review the plan with Your employees?
4.A.Do You use written contracts or agreements related to the activities or services that will be provided? Yes No
B.Percentage of time agreements referenced in Section VIII.4.A. are used: %
C.Do Your contracts contain hold harmless or indemnity agreements for the benefit of:
(1) / You? / Yes No(2) / the other parties? / Yes No
(3) / both parties on a mutually beneficial basis? / Yes No
D.Do Your contracts contain:
(1) / guarantees or warranties by You? / Yes No(2) / disclaimers to Your benefit? / Yes No
5.Has a law firm experienced in Your field reviewed Your:
Contract? / Yes NoProcedures? / Yes No
Content? / Yes No
6.A.Is all of Your system and/or software design and development work for others documented and tested?
Yes No
B.Is a standard test plan followed for all of Your system and/or software design and development work? Yes No
C.Does Your test plan include procedures for detection and correction of bugs, viruses, intrusions, security flaws or other anomalies? Yes No
D.Are Your clients responsible for determining the accuracy of test results? Yes No
E.Do Your clients provide written acceptance of the systems and/or software prior to production or implementation?
Yes No
F.Do You retain design, development and testing documentation for the life of the systems and/or software?
Yes NoIf No, how long are these critical documents retained?
7.If bugs, viruses, intrusions, security flaws or other anomalies are discovered in systems and/or software You provide to
others, what are Your procedures for determining affected users/licensees, notifying them of potential problems and
providing necessary modifications?
8.Describe Your procedures to safeguard against potential copyright infringement arising out of:
A.Systems and/or software designed or developed by You for others:
B.Systems and/or software created by others and modified by You:
9.A.Do You use independent contractors or vendors for any of Your services? Yes No
B.If Yes, what percentage of total revenues is attributable to independent contractor or vendor work? %
C.Why do You use independent contractors or vendors?
(1) / As a regular supplement to staff? / Yes No(2) / For expertise that does not exist within Your operations for a particular project? / Yes No
(3) / Other:
10.Describe in detail the type of services Your independent contractors or vendors provide.
11.Describe experience/qualification requirements for independent contractors or vendors.
12.Describe how You monitor and manage the quality of services performed by Your independent contractors or vendors.
13.Do You obtain certificates of insurance for every independent contractor or vendor You use showing coverage for Errors and Omissions or professional liability? Yes No
Please provide sample copies of contracts used with independent contractors or vendors.
IX.CLAIMS EXPERIENCE:
1.Have any claims, suits or proceedings been made during the past five years against You or any of Your predecessors in
business, subsidiaries or affiliates or against any of the past or present partners, owners, officers, sales persons or
employees arising out of the activities described in this application? Yes No
If Yes, complete a Supplemental Claim Information Form for each.
The policy for which You are applying, if issued, will not insure any claims, suits or proceedings made against You before the Inception Date of the policy or any subsequent claims, suits or proceedings arising therefrom.
2.Are any of You aware of any actual or alleged fact, circumstance, situation, error or omission, which may reasonably be
expected to result in a claim being made against You or any of the persons or entities described in Section IX.1. above?
Yes NoIf Yes, please explain:
The policy for which You are applying, if issued, will not insure any claims that can reasonably be expected to arise
from any actual or alleged fact, circumstance, situation, error or omission known to any of You before the
Inception Date of the policy.
3.Have any of You or any of Your predecessors in business, subsidiaries or affiliates or any of their past or present partners, owners, officers, sales persons or employees been investigated and/or cited by any regulatory agency for
violations arising out of their activities? Yes NoIf Yes, please explain:
X.PRIOR OR CURRENT COVERAGE:
1.A.Provide the following information for similar insurance, if any, carried during the last five years:
Company
/Limit
/Deductible
/Premium
/Policy Term
B.Advise current retroactive date:
(Please provide current declarations page.)
2.A.Provide the following information for Commercial General Liability coverage currently in force:
Company /Limit
/Policy Period
B.Does the policy referenced in Section X.2.A. include coverage for Products/Completed Operations hazards?
Yes No
C.Does the policy referenced in Section X.2.A. include coverage for Personal Injury and Advertising Injury?
Yes No
XI.POLICY LIMIT/RETENTION:
1.Advise Policy Limit and Retention options for which You desire proposals:
Policy Limit / RetentionXII. REPRESENTATIONS:
By signing this application, You agree that:
1.The statements and answers given in the application and any attachments to it are accurate and complete;
2.The statements and answers You furnish to the Company are representations You make to the Company on behalf
of all persons and entities proposed for coverage;
3.Those representations are a material inducement to the Company to provide a proposal for insurance;
4.Any policy the Company issues will be issued in reliance upon those representations;
5.You will report to the Company immediately, in writing, any material change in Your activities, services, condition or
answers provided in this application that occur or are discovered between the date of this application and the
effective date of any policy, if issued; and
6.The Company reserves the right, upon receipt of any such notice, to modify or withdraw any proposal for insurance
the Company has offered.
WARNING
ANY PERSON WHO KNOWINGLY AND WITH INTENT TO DEFRAUD ANY INSURANCE COMPANY OR OTHER PERSON FILES AN APPLICATION FOR INSURANCE OR STATEMENT OF CLAIM CONTAINING ANY MATERIALLY FALSE INFORMATION, OR CONCEALS FOR THE PURPOSE OF MISLEADING, INFORMATION CONCERNING ANY FACT MATERIAL THERETO, COMMITS A FRAUDULENT INSURANCE ACT, WHICH IS A CRIME AND MAY BE PUNISHABLE BY FINES AND CONFINEMENT IN PRISON.Name (please type or print) / Name (signature of authorized representative)
Title
/Date
To Be Completed By Producer(s) Only:
Retail Producer:Producer Name:
City, State:
Telephone No.: / Wholesale Producer:
Producer Name:
City, State:
Telephone No.:
Note: Agent/Broker is responsible for collection and filing of any surplus lines taxes and fees that may apply.
NOTICE TO ARKANSAS APPLICANTS:
ANY PERSON WHO KNOWINGLY PRESENTS A FALSE OR FRAUDULENT CLAIM FOR PAYMENT OF A LOSS OR BENEFIT OR KNOWINGLY PRESENTS FALSE INFORMATION IN AN APPLICATION FOR INSURANCE IS GUILTY OF A CRIME AND MAY BE SUBJECT TO FINES AND CONFINEMENT IN PRISON.
NOTICE TO COLORADO APPLICANTS:
IT IS UNLAWFUL TO KNOWINGLY PROVIDE FALSE, INCOMPLETE, OR MISLEADING FACTS OR INFORMATION TO AN INSURANCE COMPANY FOR THE PURPOSE OF DEFRAUDING OR ATTEMPTING TO DEFRAUD THE COMPANY. PENALTIES MAY INCLUDE IMPRISONMENT, FINES, DENIAL OF INSURANCE AND CIVIL DAMAGES. ANY INSURANCE COMPANY OR AGENT OF AN INSURANCE COMPANY WHO KNOWINGLY PROVIDES FALSE, INCOMPLETE, OR MISLEADING FACTS OR INFORMATION TO A POLICYHOLDER OR CLAIMANT FOR THE PURPOSE OF DEFRAUDING OR ATTEMPTING TO DEFRAUD THE POLICYHOLDER OR CLAIMANT WITH REGARD TO A SETTLEMENT OR AWARD PAYABLE FROM INSURANCE PROCEEDS SHALL BE REPORTED TO THE COLORADO DIVISION OF INSURANCE WITHIN THE DEPARTMENT OF REGULATORY AGENCIES.